Canadian company Purpose Investment files prospectus on crypto ETF with Canadian regulators


One of the
largest digital asset managers in the world, the Canadian company Purpose
Investments Inc. announced the filing of a prospectus and annual information
form with the Canadian securities regulators for managing three cryptocurrency exchange-traded
funds (ETFs).
The filing
includes Purpose Crypto Opportunities ETF, Purpose Bitcoin Yield ETF, and
Purpose Ether Yield ETF. To invest in securities which provide exposure to
digital assets, Purpose Crypto Opportunities ETF will focus to invest in
publicly listed securities, also including investment funds and derivative
instruments. In August, funds filed with the Ontario Securities Commission. For
the Crypto Opportunities fund, Neuberger Berman Breton Hill ULC private
investment manager will serve as an independent subadvisor.
Both Purpose
Bitcoin Yield ETF and Purpose Ether Yield ETF seek to offer monthly
distributions and long-term capital appreciation to investors. Investment
target will be obtaining mainly by direct and possible indirect exposure to
bitcoin and Ether respectively using a derivative-based strategy with respect
to portfolio securities. Three ETF series in which Purpose Bitcoin ETF is
available including Canadian dollar-denominated ETF currency-hedged units (BTCC),
Canadian dollar-denominated ETF non-currency hedged units (BTCC.B), U.S. dollar
denominated ETF non-currency hedged units (BTCC.U), and mutual fund units. Purpose
Ether ETF is available in mutual fund units and the three ETF series- ETHH,
ETHH.B and ETHH.U.
In February 2021
after getting approval from the Canadian securities regulator, Purpose Bitcoin
ETF was introduced. ETF grew its assets under management to more than $400M in two
days after its launch. In April, Purpose introduced another world-first, a
direct custody Ether ETF. Chief Investment Officer of Purpose Greg Taylor said “The
cryptocurrency markets are known for their volatility. We filed to launch these
actively managed cryptocurrency ETFs to help investors benefit from active
management by seasoned investment professionals who will be well-positioned to
generate income, and manage risk and the volatility for investors,”.
Other launches
company is focusing on
Purpose is seeking
to offer exposure to the growing opportunities in decentralized finance (DeFi) and
the unique DeFi investment universe. To fulfil this objective, Purpose is aiming
to launch Purpose DeFi Opportunities Fund which will be a privately offered
fund.
About Purpose
In 2012 Canadian
company Purpose Investments was founded and grew over $1B in assets under
management. In March 2021, the total value of assets managed by Purpose Bitcoin
ETF crossed $1B and launched the world’s first physically settled Bitcoin ETF.

Indrani bose
CBW - External Analyst
INDIA